SAP Sales Organization

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SAP sales organization is one of the fundamental organizational units of SAP ERP that enable to map a real-life enterprise structure to the SAP representation of a company. In this tutorial, we will learn what is SAP sales organization, how to define a new sales organization, and how to perform assignment of a sales organization to a company code.

What is SAP Sales Organization?

Sales Organization in SAP Sales & Distribution module is the highest level in organizational structure and is primarily responsible for carrying out and monitoring sales. Sales Organization is responsible for devising sales strategies which are to be executed to gain market share.

If there are any Customer’s complaints regarding the goods and services which the company primarily is responsible for, all such queries and complaint handling is done at Sales Organization level. A Sales Organization is assigned to a unique Company Code. If the business is of such nature, one or more Sales Organizations can be created and assigned to a Company Code. A sales organization cannot be assigned to multiple company codes at the same time.

All the sales reporting is accumulated at Sales Organization level. Reporting is carried out by Sales Organization. If you want to see sales performance of one sector your business, you will select the Sales Organization and all the sales pertaining to the select Sales Organization will be displayed.

All Sales and Distribution documents are assigned to a single Sales Organization. In SAP SD, if you want to use the said module, at least one Sales Organization is a must.

How to Create SAP Sales Organization?

I am sure you have gone through the tutorial SAP SD Organizational Structure available in tutorials section. This tutorial will help you in learning the steps about configuration done in SAP customizing and how the SAP Sales & Distribution Organizational structure is configured during Realization Phase finalized in the Business Blueprint Phase.

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There are two steps in Organizational Structure configuration:

Definition: this is the first step in organizational structure configuration where you create and define the organizational structure with the ‘coding’ finalized in the Business Blueprint Phase.

Assignment: this is the second step in the organizational structure configuration setup where you assign the configurable object created in the definition step to another configurational object in the same or in another module(s). E.g., assigning a Distribution Channel to a Sales Organization and / or assigning a Sales Organization to a Company Code.

Define SAP Sales Organization

To Define the Sales Organization in the customizing of the SAP system you can either type SPRO in the Transaction Bar:
Sales Organization Configuration > Accessing Customizing

In the standard SAP system, 0001 – Sales Org. 001 is available. It is a predefined sales organization created by SAP. Here you have two options to create a new sales organization:

Either copy this 0001 – Sales Org. 001 and in this way all the necessary will be copied. Rename it with your Sales Organization coding and make changes where necessary. This can be done by selecting 0001 – Sales Org. 001 and pressing F6 on keyboard or button.

Or opting for defining all values by yourself by pressing F5 on keyboard or button.

We shall opt and proceed with the ‘Copying’ option since it assists in populating fields by default. You can copy using the SAP’s available 0001 – Sales Organization 001 or use other already created sales organizations which cater your requirement.
Sales Organization Configuration – Define Sales Organization > Copying

Press Ctrl+S or button to save the Sales Organization that you’ve just created. Once you try to save, a pop up will appear containing ‘Customization Request’.
Sales Organization Configuration – Define Sales Organization > Saving Customization

Enter your description and note the Customizing Request Number for future reference. Press Enter or button to continue and the SAP system will confirm that the data was saved.

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Assigning SAP Sales Organization

Now, the second step is to assign the sales organization created / defined in the first step to the cross modular organizational structure object which is the company code as finalized in the Business Blueprint document. The customizing menu path for this activity: SPRO > Enterprise Structure > Assignment > Sales and Distribution > Assign sales organization to company code.
Sales Organization Configuration – Assigning Sales OrganizationSales Organization Configuration – Assigning SAP Sales Organization to a Company Code (Picture 1)Sales Organization Configuration – Assigning SAP Sales Organization to a Company Code (Picture 2)

Enter relevant company code against the Sales Organization to which you want to assign.
Enter Company Code

Press Ctrl+S or button to save the assignment of Sales Organization to Company Code and the system will pop up Customization Request. Based on desire either save it with the previous request or create a new one depending on the Transport Request methodology being followed at the project.

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